Jed S. Rakoff

Federal Judge Jed S. Rakoff is not pleased with the Securities and Exchange Commission again. Nor is he happy with Citigroup, as he accused both the agency and the financial institution late Thursday of making an end run around his decision not to delay the court case against Citi by...

The Securities and Exchange Commission on Tuesday was granted a two-week delay in its securities fraud case against Citigroup as it seeks to have a judge's decision to toss its settlement with the bank reversed.

Judge Jed S. Rakoff on Monday rejected a settlement negotiated between the SEC and Citigroup over a $1 billion mortgage fund and said that he could not determine whether the $285 million settlement was “fair, reasonable, adequate and in the public interest.”

As the rhetoric heats up over regulatory reform one is reminded how much political life has not changed all that much since Abraham Lincoln was quoted noting the following: "How many legs does a dog have if you call the tail a leg? Four..."

SEC Chairman Mary L. Schapiro's September 24th speech, before the Financial Services Roundtable, included her most recent public remarks on the fiduciary standard. The Chairman's remarks are important.

In September 2013 when we look back on Lehman Bothers' demise, will we also see a "reformed" financial system and regulatory structure? One that may be hard to recognize compared to today's structure? If "yes," look to Judge Jed S. Rakoff's opinion.